The industrial property investment company Property for Industry (PFI) has posted a record annual result, driven by strong valuation gains.
Property for Industry recorded an annual increase in the value of its property portfolio to just under $2.17b. Photo: 123RF
KEY NUMBERS:
(for the 12 months ended 31 December 2021 vs a year ago)
- Net profit: $452.8 million vs $113.5m
- Revenue: $517.2m vs $135.7m
- Book value: $2.17 billion vs $1.63 b
- Dividend guidance: between 8.05 and 8.1 cents per share vs 7.85 to 7.9 cps
The company said it recorded fair value gains on properties of $392.5m, net rental income was up $10.1m percent to $94.3m, with acquisition activity contributing $7.3m to the increase.
It also recorded an annual increase in the value of its property portfolio to just under $2.17b, driven by movements in yields or cap rates.
Chief executive Simon Woodhams said PFI made "excellent progress" against the company's refreshed strategy, which included focusing on core generic assets, brownfield opportunities, specialised assets and assets held for sale.
The company expected steady progression for 2022, with a fully occupied industrial property portfolio and buoyant industrial property market conditions.
"The company's continued focus on industrial property has coincided with ongoing investor interest and tenant demand that has enabled us to grow significantly," PFI chairman Anthony Beverley said.
"We are pleased to have capitalised on these market conditions while keeping gearing low. Our refreshed strategy and the changes in our dividend policy will give us that extra degree of flexibility to enhance and expand our portfolio in order to continue growing cash returns for investors."